TriCities Corporation TriCities Corporation adds material at the start to its production process and has the following information available for August:

Beginning Work in Process Inventory (40% complete as to conversion) 7,000 units

Started this period 32,000 units

Ending Work in Process Inventory (25% complete as to conversion) 2,500 units

Transferred out ?

Refer to TriCities Corporation.Calculate equivalent units of production for conversion using weighted average.

Question

TriCities Corporation TriCities Corporation adds material at the start to its production process and has the following information available for August:

Beginning Work in Process Inventory	(40% complete as to conversion)	7,000 units
Started this period		32,000 units
Ending Work in Process Inventory	(25% complete as to conversion)	2,500 units
Transferred out	?

Refer to TriCities Corporation.Calculate equivalent units of production for conversion using weighted average.

Quizplus · Accepted Answer

The equivalent units for conversion using the weighted average method are calculated as follows: Units transferred out + (Ending WIP Inventory * % completion for conversion). Units transferred out = Beginning WIP + Started - Ending WIP = 7,000 + 32,000 - 2,500 = 36,500. Equivalent units = 36,500 + (2,500 * 25%) = 37,125.

TriCities Corporation TriCities Corporation Adds Material at the Start to Its Production